AGS Corporation
3648・Standard Market・Information & Communication
Information Processing Services
Core segment providing outsourced computing, cloud, and BPO services built on a data center foundation
| Period | Current | Previous | Change |
|---|---|---|---|
| Segment sales | ¥12,148 million | ¥11,982 million | ↑ |
| Segment profit | ¥2,032 million | ¥1,925 million | ↑ |
| Segment assets | ¥10,108 million | ¥9,249 million | ↑ |
| Depreciation and amortization | ¥975 million | ¥993 million | ↓ |
| Share of total company sales | 42.4% | 48.2% | ↓ |
Business Details
In addition to Outsourced Computing Services centered on large general-purpose mainframes with a 50-year track record, the segment provides IDC Services (Saitama iDC) based at the Saitama iDC, Cloud Services such as private cloud solutions for enterprises and cyber-attack countermeasure services, and BPO Services. Main customers are financial institutions, local governments, and general corporations. The segment has obtained certifications for ISMS (ISO/IEC27001), ISMS Cloud Security (ISO/IEC27017), IT Service Management System (ISO/IEC20000), and Privacy Mark. In FY2026 (ending March 2026), this is the largest segment, accounting for 42.4% of total company sales of ¥28,622 million.
Recent Overview
Achieved higher sales and profit driven by increased orders for operational services for financial institutions and cloud projects
In FY2026 (ending March 2026), driven by increased order intake for operational services from financial institutions and increased orders for data center and cloud service projects for general corporations, sales were ¥12,148 million (up 1.4% year on year) and segment profit was ¥2,032 million (up 5.6% year on year). This represents a recovery from the prior year, when profit declined 0.5% year on year, achieving both higher sales and profit. However, due to the rapid growth of the Software Development segment (up 37.7% year on year), this segment's share of total company sales declined from 48.2% to 42.4%. As a subsequent event, it has been resolved that the wholly owned subsidiary AGS Business Computer Co., Ltd. (ABC) will be absorbed through merger effective April 1, 2027, with no impact on consolidated results expected.
Key Products
Growth Drivers
- Increased order intake for operational services for financial institutions (including projects related to standardization of local government information systems)
- Increased order intake for data center and cloud service projects for general corporations
- Rising security demand amid increasing cyber-attack incidents
- Positioning of "Promotion of Cloud and Infrastructure Security Business" as a key initiative in the second medium-term management plan
- Maintaining competitiveness through the location and facility advantages of the urban-type data center (Saitama iDC)
Risks
- Risk of profit pressure from rising personnel, machinery, and repair costs related to data centers
- Intensifying competition with peer companies amid the expansion of cloud services
- Risk of increased costs due to rising raw material prices and personnel expenses
- Risk of changing demand for traditional outsourced computing services as customers shift to IT cloud solutions
- Risk of cyber-attacks targeting organizations (impact on own facilities and customer data)
- Risk that the rapid growth of the Software Development segment will reduce this segment's relative standing within the company, leading to changes in resource allocation
Last updated: June 19, 2026